Developing countries do:
A. compete with one another for foreign investment, and this competition reduces the benefits from foreign investment.
B. not compete with one another for foreign investment, because they have sufficient domestic saving to finance their investment needs.
C. not compete with one another for foreign investment, because they lack the infrastructure to attract it in the first place.
D. compete with one another for foreign investment, but this competition is beneficial to developing countries because it insures a more efficient allocation of resources.
Answer: A
You might also like to view...
According to the textbook, when a foreign government provides aid to a poor nation, it
A) interferes in the domestic affairs of the poor nation. B) behaves in the interest of the poor nation. C) pursues the global interest. D) does all of the above. E) does none of the above.
When the Artistic Headwear Company in Bangor, Maine, protecting itself from inadequate supplies, decides to increase its raw material inventories, this decision is included in
a. saving b. dissaving c. transitory investment d. inventory investment e. autonomous investment
Suppose buyers of computers and printers regard the two goods as complements. Then an increase in the price of computers will cause a(n)
a. decrease in the demand for printers and a decrease in the quantity supplied of printers. b. decrease in the supply of printers and a decrease in the quantity demanded of printers. c. decrease in the equilibrium price of printers and an increase in the equilibrium quantity of printers. d. increase in the equilibrium price of printers and a decrease in the equilibrium quantity of printers.
The sum of the possible outcomes of a gamble multiplied by their respective probabilities is known as:
A. the expected value of the gamble. B. a fair gamble. C. the variance of the gamble. D. a better-than-fair gamble.